Docusign (NASDAQ:DOCU) Upgraded to “Buy” at Wall Street Zen

Docusign (NASDAQ:DOCU) was upgraded by research analysts at Wall Street Zen from a “hold” rating to a “buy” rating in a report released on Saturday.

A number of other analysts have also commented on the stock. Evercore ISI lifted their target price on shares of Docusign from $90.00 to $92.00 and gave the stock an “in-line” rating in a report on Friday, September 5th. JPMorgan Chase & Co. lifted their target price on shares of Docusign from $77.00 to $80.00 and gave the stock a “neutral” rating in a report on Friday, September 5th. JMP Securities reaffirmed a “market outperform” rating and set a $124.00 target price on shares of Docusign in a report on Friday, September 5th. Zacks Research raised shares of Docusign from a “hold” rating to a “strong-buy” rating in a report on Tuesday. Finally, Morgan Stanley lifted their target price on shares of Docusign from $86.00 to $90.00 and gave the stock an “equal weight” rating in a report on Monday, September 8th. One analyst has rated the stock with a Strong Buy rating, four have assigned a Buy rating and fourteen have issued a Hold rating to the company. According to MarketBeat, the company presently has a consensus rating of “Hold” and an average price target of $94.14.

Docusign Price Performance

Shares of Docusign stock opened at $80.19 on Friday. The firm has a market cap of $16.13 billion, a P/E ratio of 60.29, a P/E/G ratio of 4.21 and a beta of 1.02. The firm has a 50 day simple moving average of $75.74 and a 200 day simple moving average of $79.25. Docusign has a fifty-two week low of $55.14 and a fifty-two week high of $107.86.

Docusign (NASDAQ:DOCU) last issued its quarterly earnings results on Thursday, September 4th. The company reported $0.92 earnings per share for the quarter, beating analysts’ consensus estimates of $0.84 by $0.08. The business had revenue of $800.64 million during the quarter, compared to analyst estimates of $780.35 million. Docusign had a net margin of 9.08% and a return on equity of 14.01%. Docusign’s revenue for the quarter was up 8.8% compared to the same quarter last year. During the same quarter last year, the business posted $0.97 earnings per share. Docusign has set its Q3 2026 guidance at EPS. FY 2026 guidance at EPS. On average, sell-side analysts expect that Docusign will post 1.17 EPS for the current year.

Docusign declared that its Board of Directors has authorized a share repurchase program on Thursday, June 5th that permits the company to buyback $1.00 billion in outstanding shares. This buyback authorization permits the company to repurchase up to 6.6% of its shares through open market purchases. Shares buyback programs are usually an indication that the company’s leadership believes its stock is undervalued.

Insider Activity

In other news, Director Teresa Briggs sold 534 shares of Docusign stock in a transaction on Monday, June 16th. The shares were sold at an average price of $74.37, for a total transaction of $39,713.58. Following the transaction, the director directly owned 8,805 shares of the company’s stock, valued at $654,827.85. This trade represents a 5.72% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, CFO Blake Jeffrey Grayson sold 15,143 shares of Docusign stock in a transaction on Wednesday, June 18th. The stock was sold at an average price of $74.80, for a total transaction of $1,132,696.40. Following the transaction, the chief financial officer directly owned 110,723 shares in the company, valued at approximately $8,282,080.40. This represents a 12.03% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last three months, insiders sold 79,899 shares of company stock valued at $6,090,570. 1.01% of the stock is owned by company insiders.

Institutional Investors Weigh In On Docusign

Several institutional investors have recently added to or reduced their stakes in DOCU. Norges Bank bought a new stake in Docusign in the 2nd quarter valued at $140,987,000. Wellington Management Group LLP lifted its position in Docusign by 372.5% in the 1st quarter. Wellington Management Group LLP now owns 1,826,949 shares of the company’s stock valued at $148,714,000 after acquiring an additional 1,440,269 shares in the last quarter. Duquesne Family Office LLC bought a new stake in Docusign in the 1st quarter valued at $87,477,000. Pacer Advisors Inc. lifted its position in Docusign by 809.6% in the 1st quarter. Pacer Advisors Inc. now owns 1,167,290 shares of the company’s stock valued at $95,017,000 after acquiring an additional 1,038,962 shares in the last quarter. Finally, Third Point LLC bought a new stake in Docusign in the 2nd quarter valued at $48,681,000. 77.64% of the stock is owned by institutional investors.

Docusign Company Profile

DocuSign, Inc provides electronic signature solution in the United States and internationally. The company provides e-signature solution that enables sending and signing of agreements on various devices; Contract Lifecycle Management (CLM), which automates workflows across the entire agreement process; Document Generation streamlines the process of generating new, custom agreements; and Gen for Salesforce, which allows sales representatives to automatically generate agreements with a few clicks from within Salesforce.